Insurance rates for cars have experienced a decrease since the onset of the pandemic.

Car insurance premiums have been on a steady decline since the onset of the COVID-19 pandemic, according to Dr. Rainer Klipp, CEO of Car Insurance at Check24. Compared to August 2019, premiums are around 6% cheaper, and in July 2021, the average contribution was nearly 7% lower than in 2019.

The decrease in premiums could be attributed to several factors. Dr. Klipp states that insurers had to regulate fewer accidents last year due to reduced driving activity during the pandemic. Traffic volume decreased due to lockdowns and travel restrictions, leading to a decrease in accident frequency.

However, recent natural disasters like floods and hailstorms have increased elemental damages for insurers, consequently raising costs. Dr. Klipp's statement does not provide specific figures for these increases, but he suggests that these savings are being passed on to customers.

The trend of lower car insurance premiums may continue, but its continuation into the end-of-year business is uncertain. The uncertainty is due to the increased costs for insurers caused by these recent natural disasters.

Several insurers have adjusted their cost structures since the start of the COVID-19 pandemic, mainly due to changes in claims and operational costs. Some insurers increased premiums reflecting higher costs and risk, while others adjusted cost management strategies to limit price hikes. However, specific details on which insurers changed their cost structures and exact effects on auto insurance premiums in recent months are not clearly documented.

Check24 suggests that the lower car insurance prices could be related to the COVID-19 crisis. The lower accident frequency could have positively affected insurance premiums due to reduced claims.

Dr. Klipp's statement does not indicate a reversal of the downward trend in car insurance premiums, but it suggests uncertainty. It remains to be seen how the increased costs for insurers due to recent natural disasters will impact the overall downward trend in car insurance premiums.

Insurance rates for cars have experienced a decrease since the onset of the pandemic.